Binance's Ties to Kenyan Crypto Board Raise Monopoly Concerns 🚨
🇰🇪 Kenya’s Crypto Startups are expressing concerns over the proposed Virtual Asset Service Providers (VASP) Bill. They fear that a Binance-linked lobby group, the Virtual Asset Chamber of Commerce (VAC), might gain undue influence over the country’s crypto regulations. This could potentially create an unfair advantage for Binance and harm local players. ⚖️
🔍 VAC's Role
The VAC is set to be included on the regulatory board under the draft law. However, some crypto stakeholders argue that VAC is sponsored by Binance and lacks independence. Critics point out that VAC, which has been running Binance-backed regulatory talks, might be acting as a proxy for the exchange. 🤔
💰 Binance’s Alleged Financial Influence
Reports suggest Binance is paying VAC $6,000 per country each month to influence crypto policies. This raises concerns about regulatory favoritism for Binance. Some critics even compare the situation to VAC's attempts to influence Rwanda’s regulatory landscape. 🌍
🔗 VAC Defends Its Role
VAC’s Director, Basil Ogolla, defended its position, citing a two-year campaign of consultations with the IMF, Central Bank of Kenya (CBK), and Kenya's Parliament. He stated that VAC's inclusion in the regulatory board reflects trust and confidence. 🗣️
💼 Broader Implications
With the inclusion of national treasury, CBK, and the Capital Markets Authority (CMA), the new board will have a diverse range of representatives. However, concerns about conflicts of interest persist. 🔍
🌍 Binance’s Global Expansion
In addition to its Kenyan ties, Binance is deepening relationships with governments worldwide. It has signed MOUs in Kyrgyzstan and advised governments on creating crypto reserves and policies. 🌐
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